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The overall goal of the project is to reverse the process of degradation of the natural resource base and improve the productive potential of natural resources and incomes of the rural households in the project area in Himachal Pradesh (using the Community-driven Development (CDD) approach).

A secondary objective is to support policy and institutional development in the state to harmonize watershed development projects and programs across the state in accordance with best practices.

Project objectives will be achieved using the following strategies and guiding principles:
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Identifying the poor and poorest and mobilize (especially women) them to form into self-managed community organizations like    Self-help Groups (SHGs), and their higher order federations
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Targeting vulnerable groups, such as women, landless, and nomads, through encouraging formation of Common Activity Groups    and special programs.
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An integrated watershed management framework (within the broad Hariyali framework) as a strategy for incorporating all technical information on productive capacity and conservation planning, as well as using water as a nucleus for a time- bound community-based program.
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An integrated Livelihoods Enhancement Framework for improving the livelihoods of the poor including financing productive demand-driven sub-project investments
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Adding value to agricultural production though increasing productivity, promotion of high value crops, and developing commercial agriculture and horticulture through production, post-harvest management, and marketing development.
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Supporting innovations in livelihoods enhancement and disseminate the successful results to the communities
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Improving the farm and non-farm livelihoods opportunities to the poor
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Building the skills and capacities of the poor, their service providers for improved livelihoods and improved governance in the institutions of/for the poor and for influencing the local organizations to be inclusive and responsive to the needs of the poor
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Project finance as a leveraging fund so as to access funds and credit from banks and other sources
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Improving accessibility in recognition that this is often the binding constraint to development in remote villages.
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Supporting decentralization by strengthening the Panchayati Raj Institutions as agents of planning and implementation as well as providing incentive fund
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Sensitizing line departments and banks to be inclusive of and responsive to the needs of the poor
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Facilitation and Technical support in analysis, planning, developing forward and backward linkages, and identifying and establishing partnerships including financing partnerships.
 
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